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Human Resource Management

Some of the competitors of the company include: Emery Airborne Freight, DHL courier express network and Purolator Courier. Other principal competitors include the united parcel service, Inc and the United States Postal Service. Rivalry among the competing sellers in the industry has been noted. There is a very strong force since the company’s competitors’ use the price cuts in their competition and there is also a low cost and an ease to the switching brand. Thus the companies in this industry diversify and also acquire other companies for their strategic growth and also synergy.

Competitive force of the potential entry-in the industry is a very weak force since each company has strong brand images and this makes it very hard for the new entrants. The initial capital expenditures are very huge and the exiting companies are achieving their economies of scale by being global. Another threatening factor to the potential new entrants is the trade tariffs as well as the international regulations whereby they have to prove themselves to the foreign companies, customers and also suppliers.

Competitive pressures of the substitute products is a moderate but weak force in the industry since the businesses and also individuals wish to use other cheaper

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modes of transportation. On the other hand the customers who use the freight services desire speed, convenience and also low costs. (Magaritis: 11) Marketing and advertising The company provides services that are appealing to most people in the world. Slogans such as “absolutely positively”, “Don’t panic”, and “whatever it takes” have been on the company’s advertising strategies.

The key strategy that the company has used in wooing the customers is maintaining excellent communication with them and further tracking all its shipments. Similarly the company always has very competent top managers who are in charge of the company’s strategic direction. For this reason, customers have been able to get superior services from the company. FedEx has already built a name for its self in the market due to the superior services it offers its customers. The internet and the electronic technology for tracking millions of daily shipments have further increased its success.

Human Resource Management The company is a leader in its field. It was the first company to venture in to freight business and this has earned it a lot of respect from many people. It employs approximately 14000 people. (Wetherbe: 34). This is a very big number and thus it has played a role in trying to reduce the level of unemployment in the society. The company offers competitive services which ensure that the customers are satisfied. Therefore, the community has also benefited from the company. (Foust, 2007)

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